EQT Leases Two LNG Carriers Under 10-Year Deal Starting in 2028
Key Facts
EQT disclosed an agreement signed in January 2026 to lease two liquefied natural gas carriers for 10 years, with the leases set to begin in 2028, expanding the company’s arrangements tied to the LNG market. The company said in its quarterly filing that the deal is with a third-party vessel owner and operator, and did not say the carriers would transport its production directly to global markets. EQT estimates minimum undiscounted future lease payments at about 295 million dollars per carrier over the lease term. The disclosure comes as the company works to expand LNG sales agreements and storage capacity, according to its third-quarter results. The company also announced other agreements for which some capacity will not start before 2030, making the timing of execution a key part of the expansion picture.
In its third-quarter results, EQT announced it had signed a 10-year LNG sales agreement with Lithuania’s Ignitis Group. It also contracted for an additional 7 billion cubic feet of capacity in the salt dome expansion project at the Leaf River Energy Center. The company said the addition would increase its Gulf Coast storage capacity to as much as 11 billion cubic feet. These agreements place Ignitis sales and additional storage among the announced commitments separate from the carrier lease. They expand the commercial tools EQT has announced for handling LNG, alongside transportation and storage contracts.
EQT’s commitments also include a 20-year tolling liquefaction agreement, with capacity of up to 2.0 million tons per year, with capacity not expected to begin before 2030, according to its annual report. The company noted, however, that some commitments are tied to projects that have not yet reached a final investment decision. It said in the report that the timing, volume or realization of these commitments could be delayed, reduced or not occur. That caveat limits how the announced dates for LNG capacity should be read; some are tied to projects whose investment decisions remain unresolved. The announced timeline therefore runs from the expected start of the carrier leases in 2028 to liquefaction capacity not expected to begin before 2030.
These steps come amid the proposed acquisition of Range Resources, which the companies said would create a vertically integrated natural gas producer. They estimated that the combined entity’s net production would exceed 9 billion cubic feet equivalent per day, with more than 30 years of inventory across nearly 3 million net acres. They also forecast baseline annual savings of 325 million dollars within two years, with a potential path to more than 600 million dollars over the long term. They said the savings include corporate, operational and commodity marketing areas, including improved marketing margins for natural gas, LNG and natural gas liquids. These figures provide context for the proposed entity’s scale and marketing capabilities, but do not specify returns from the carrier lease or its direct commercial purpose.
Following the merger announcement, EQT shares fell 4.6% in premarket trading on October 26, 2026, while Range Resources shares rose 10.1%, according to Reuters. The share moves showed a mixed reaction to the announcement, with Range gaining while EQT fell in early trading. The carrier agreement, meanwhile, calls for the leases to begin in 2028 and run for 10 years, the filing said. Some other LNG commitments remain tied to projects that have not yet received a final investment decision, according to the company’s annual report. Among the announced dates, the tolling agreement’s capacity is scheduled to start no earlier than 2030.